Is Nifty & Bank Nifty ready for correction?When we analyze Nifty's chart on Daily Candle, we see it is overbought since last 5 days.
Historically, whenever overbought indication got active on Daily Chart of Nifty, the correction started from there on.
Also, an analysis of Futures Contracts tells us that we are already at the peak. And number of contracts being sold/bought at this level are not much compared to the fulcrum.
Considering this data, the probability of Nifty going higher from this level is very little while probability of a correction is gaining ground.
The immediate support for Nifty is at 17124 and if it is decisively broken, the 17000 mark will not take much time to vanish.
Further upside, the chances of which are very low, will come only if next psychological barrier of 17450 is overtaken.
As for as Bank Nifty is concerned, it is fulcrum is located at 35915 and if the slide down starts and goes past this mark, many Buyers will be forced to liquidate their positions, which will push the price further down.
If a further upwards push comes for the bank nifty, only Entry above 37400 can be considered safe from a short to medium term perspective.
Marketcrash
XAUUSD SHORT TO 1756 (Update from my last post)XAUUSD SHORT ANALYSIS UPDATE TO 1756: We saw Gold carry on surging higher this week like I outlined on my last analysis & we saw Wave E complete at 1826 in 200 PIPS profit! I am still looking at shorts at the current price or even possibly a little higher at 1737-1742 as there could be a little liquidity sweep to take out July highs at 1835. I have moved my invalidation level to 1847 to deal with Wave E pushing higher towards the first half of the week.
I will be catching this move on behalf of myself and my Account Management Investors✅
NASDAQ MACRO LOG CHART (+ Info, Targets, Crash Points...) General Info:
- On the linear scale, the NASDAQ has made a parabolic move (2009 - Now).
- The 2009 crisis was never properly fixed. The government placed a bandaid on the debt problem by bailing out all of the banks/corps.
- TECH is the future but speculation is the bubble fueler.
- Margin debt is at ATH
- Transportation Index is down
- "Meme Stocks", Robinhood era - dumb money
- COVID Massive Printing (1/3 of Economy $$ printed in 1 year)
- Joe Biden's trillion-dollar infrastructure plan + corporate tax hikes
- COVID DELTA, Afghanistan... (current events)
- Bull/Bear markets come in cycles
- Overvalued markets as a whole (real estate, crypto, NFT...)
What to expect:
Following the Log Scale, one would expect the biggest crash in history to occur when the NASDAQ reaches the red line (maybe 55K a couple of years down the road (around 2031)), however, this is not feasible. There simply isn't enough liquidity to keep the markets going in an upward direction for years. As we are over-valued, we can expect a correction/crash at the current GANN line we are approaching. There isn't an exact timeline as to when we will touch and react, but here is the scenario:
17K by end of December then crash. If we impulse then 19k. If we keep going up then 22K Q2 2022. It will either be a blowoff top or a stagnation for a couple of months around the PT before downwards movement. An impulse to 22k mid-2022 followed by stagnation can carry the crash over into 2023.
In summary, 17K, 19K, or 22K. EOY or Q2 2022. Have patience and an exit plan. Good Luck!
NDX (Nasdaq) one of the possible moves. Possibility of dotcom2.0Hey, this is one of the possible moves in of $NDX, the index is overbought and it needs to cool off, maybe we see a market crash (or just a big correction) in February 2022.
Not financial advice. Do your own research.
P.S I will be glad if this is not gonna happen. If this happens many people will lose their savings.
P.P.S If we see market crash it will not be as 'light' as 2008 but more like as it was in 2000 (dot com crash) or even as hard as the Great Crash (1929 aka the Great Depression).
Mother of Market Crash is NearHere I will share my opinion about the mother of market crash, this is all about the global economy, I want to explain a little what is meant by michael burry, this has to do with elon musk and bitcoin.
Michael Burry once said: we will witness the mother of all accidents, in the midst of the greatest speculative bubble of all time. Then what does this mean? everyone is still wondering about this.
Everyone must have known that the bitcoin season will continue until the end of the year, this is called a speculative bubble if the bull is left until the end of the year, it is like a small fish eating a whale and this will probably never happen. the minor players are bound to leave before the end of the year, and this is what the big players don't want.
Michael Burry may be right again, this could be due to several factors
- United States inflation rate out of control
- Federal Reserve will raise key interest rates sooner than expected
- high unemployment rate
- Covid19
- Bank collapse
Let's try to see the chart pattern I made about bubbles
bitcoin is dancing on the edge of a knife, here I am a little doubtful about the accumulation of wyckoff and the movement is a little suspicious.
I feel like Elon Musk was hiding something during the last discussion with Jack Dorsey and Cathie Wood on the Bword show.
Market Outlook WeeklyTVC:SPX using a log chart I channeled the market since it's inception. The top of the channel (in red) is exclusively where the major stock market crashes have happened. The bottom channel (in green) is "crash free." The bold purple line is where 3 of last 4 market crashes have happened. Since the "Nixon Shock," $spx has failed to breach this line, except during the "dot-com bubble." U.S. inflation rates are rising, the Buffet Indicator (divide by US GDP on the chart) is at an all time high, and the CAPE (SPX ECY on chart) is starting to. rise, like it has at the top of every crash. However, a major crash has not when CAPE is above that black line, excluding COVID.
Note: Not claiming a crash now, just saying there are some warning signals and to be cautious.
EDU a "nonprofit organization"China's crackdown on for-profit education companies was a disaster for traders not using a stop loss.
In the 52 Week Range EDU New Oriental Education & Technology Group Inc. went from 19.9740 to 1.9400usd.
After-school tutoring institutions must transform themselves into "nonprofit organizations".
Jim Cramer (Mad Money) on China's tech crackdown: You can't own Chinese stocks!
ARK Invest dumps Chinese stocks.
It seems dangerous to hold Chinese stocks right now.
US-listed Chinese companies have three years to comply with US accounting oversight, to comply with the rules of accounting and transparency that American public companies must follow, if not they will get delisted.
This looks like the beginning of China`s stock market crash.
I`m looking forward to read your opinion about this!
Gold + RSI Divergence (Click to find which one)Good day guys! My team and I have been milking Gold all week with 200+ pips trading live Tuesday, Wednesday & Thursday. However, I am simply updating you all on the overall move and that is downward. As price action demonstrates to break the previous high this week, you notice there is bearish divergence present within the RSI. With the relative strength index indicator providing us a strong confirmation of a market reversal, we are now waiting to check off all the confirmations within our checklist. In other words, just because the RSI indicator is showing signs of a reversal, it is not something we trade alone. If you notice our previous analysis around June 8-10th, we were able to send a last warning before profiting over 1200+ pips. However, that was a opportunity we were watching for almost 2 months. When it comes to trading as a professional, you have to digest that you will probably spend 5% of your time actual trading and 95% waiting. Due to the fact that the markets tend to range more than they trend, you have to be patient. We could see our move occur next week or it could be drawn out until the end of the month, until the next Fed meeting. In conclusion, instead of trying to predict, we simply just react. Well, we do appreciate you for checking out our post and remember, we will see you on the other side.
Rodrick Goss (CEO)
Third Eye Traders
Stock Market Crash Prediction: Worst 70% Crash before 2022 Feb?Hi all. While Bitcoin is not performing well, the stock market is doing very well these days. Me also invest in the Vanguard VTI stock, and I see a massive gain on the portfolio.
But as everyone concerns, until when this uptrend movement will keep up to? Here's one of the many ways to think the problem.
Here I used the trend based fibonacci time and the fibonacci channel technical analysis tools. They are based on the fibonacci numbers and tell us a rough measure for possible supports and resistances.
Now as the chart, the market crash is coming, right in front of us. From my analysis I think it would be roughly between 2021 October to 2022 February. And as the 2008 crash, it would be 50 to 60% throwback. But to be very honest, it may not enough dump on the other hand. From the past crash data, it says 57%, but from seeing the chart, the -60% support zone is a little too thin. And, just returning back to the 1.618 fibonacci zone, where the same level to the 2020 April COVID flash crash is apparently not enough, to me at least.
So, here's my analysis. I don't TA usually on stock charts, so I'm curious your opinion on this analysis. Share your idea on the comment.
Also, as always, this is not a financial advice. Have a nice trade.
DOW TOP PREDICTIONThis super cycle EWT & Fibonacci analysis is showing me that we are approaching the top of the quantitative easing/money printing pump. Nearly all of the EWT theory rules apply, and the fibonacci levels are scary accurate. The top of the fibonacci retracement is a projection in this case but the accuracy of the previous trend levels with the fib retracement indicates the top in this analysis. We also have the 2.618 fib multiple within the exact same price range as the projected fib retracement top, which would make sense to be a turn around level on this macro trend.
The top is projected at 36,500-37,500 which is also just before the massive psychological level of 40k, which could suck in retail participants to put the cherry on top of the crash sunday.
Also as an additional flavor, the MACD is at record highs, and we just saw a confirmed cross this is more significant than the ones previously seen in the past 2 years.
I have sold 35% of my holdings, will be selling an additional 15-20% at 36,000.
Look out below...
A Troublesome Outlook for Stocks SPY on 1 Month. In the last 12 Years we have seen 8+ Corrections Occur after a Doji Candle has formed on the One Month Chart. According to Investopedia "A doji candlestick forms when a security's open and close are virtually equal for the given time period and generally signals a reversal pattern for technical analysts." I have pin pointed 12 moments in the past 12 years where these candle formations have lead to a correction. (Not all Doji candles are perfect, the main detail I am looking for is an Open and Close that are virtually equal) All percentages were tallied at close of each month not wick.
October, 2007
% Lost: 53%
On October, 2007 a Green Doji Candle Formed, after that candle formed a green candle didn't form for the next 5 months, and the market fell over 50% for the next year and a 1/2.
April, 2010
% Lost: 16%
On April, 2010 a Green Doji Candle Formed, over the next 2 months the market saw a major correction of 16%. Now what is different about this correction compared to the 2008 crash is that volume was below the average at least 3 months prior. AVG 5.7B, ACT 3.9B. Now this is a trend we will see prior to the corrections in the future.
April, 2011
% Lost: 18%
On April, 2011 a Red Doji Candle formed, over the next 4 months the market fell 18%. The Volume 3 months prior was below the average, AVG 4B, ACT 2B. A new trend that we will see from here on out is that the bottom occurs around the 55 EMA line.
April, 2012
% Lost: 9%
April 20, 2012 a Red Doji Candle formed, over the next month the market fell 9% right around to the 55 EMA. The Volume 3 months prior was AVG 4.2, ACT 3B. Below Average.
April, May, July, 2015
%Lost: 10%
These 3 months each had a Green Doji candle leading up to a market correction of 10%. Which Lasted 7 Months, and two wicks ended around the 55 EMA. The volume was below the average at AVG 2.3B, ACT 1.9B.
September, 2018
% Lost 15%
On September, 2018 a Green Doji formed, for the next 4 months after the market fell 15%, and a wick landed right around the 55 EMA. The Volume 3 Months before was AVG 1.6B, ACT 1.3B.
January, 2020
% Lost 23%
On January 2020 a Red Doji formed, over the next 3 months the market fell 23%, and closed on the 55 EMA. At its peak the market fell 33%. 3 Months prior the Volume was below average Rectangle
Future Outlook:
The Last Two Months have been shaping up like the 7 corrections previously stated. 4 out of the last 5 months have been below average AVG 1.8B, ACT 1B. with TWO GREEN DOJI CANDLES FORMING. Not to mention the Market going up 40% in the last 15 month, Rates Expected to raise soon, Inflation expectations increased drastically, the Fed Artificially Stimulating the market (possibly easing up soon), 6 Trillion+ being printed in one year (possible 3 trillion more soon) Things are not looking good for the stock market. We all need to face the fact that a stock market crash/correction is coming.
The average of the last 7 Doji Corrections is 14%. If The SPY drops 14% it will go to $360.
The Last 6 Corrections have ended on or near the 55 EMA. if the SPY falls that far, it will fall around 28% to $303.
Only time will be able to tell what happens next, but things are not looking good. What do you think.
TSLA short to 500? (PT 5)Well well well... Im sure I cant be the only one who has been loading up on puts since the last spike to the 630s...
I have been bearish on TSLA for awhile now and I personally think this was its last straw... it lost all of its support levels except for this march 2020 trend line that it bounced off of before.
Now yes, it could hold the trend line again and bounce back to above 600s but it is very unlikely at this point...
PT1: 547.82
PT2: 497.99
PT3: 465.90
Overall, for the next two weeks I think we see ~500 daily demand zone where I expect bounce then another leg down to ~465
Linear Regression Outlook:
Just my thoughts, Happy Trading!
Dow Jones US30: Potential Crash?Currently @ 34645
This is a long term analysis on the Dow Jones
In the month of May we have seen high volatility in the Dow Jones, which was
fueled by inflation fears in US, seeing the Dow lose +1500 points just in 2 days
Though the Fed has assured the public & investors that they have everything under
control & their tools will be able to manage any outcome. Regardless of this statement
some still fear the worst & predict another market crash due to hyper-inflation if the
Fed's tools fail.
That been said lets look at what technical analysis is showing us @ the moment.
We love to use Harmonics as they help us spot reversals and help us capitalize on them
before they happen. Do note Harmonics are not always accurate just like any other indicator
but their accuracy is notable.
Now looking @ the 1W / weekly chart we have a bearish harmonic, though not yet confirmed
But this shows a possible reversal & if we look @ the last bearish harmonic on the 1W chart
is was last year Feb - March whereby Dow Jones fell by 10,000 points due to the pandemic
Now if history repeats itself & we see another fall this time due to something else
e.g. hyper-inflation we would expect Dow Jones to fall to at most 23,000 before
recovering. The last Bullish Harmonic is based on our prediction.
link to previous analysis below
Do note this is just an analysis based on technical analysis & current events. All investments involve risk, our analysis and trading strategy does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make.
zoom out! pt 2Last seen on the weekly support and resistance lines, the previous all the high area is a crucial point right now. We’re currently swimming in those waters, and whether or not this area serves as support or resistance is the waves we’re watching closely. So far today, we’re staying above. Let’s hope it stays that way!
Here on the 1D chart, we see the 200 eRMA overall trend line has been touched. As long as we bounce upwards, combined with the previous ATH flipping to support, AND that technical analysis combined with more FA/news like upcoming changes to Ethereum 2.0/EIP 1559 and energy conservation? DTH actually may look good.